Global Regulators Will Work Together To Tackle Crypto Challenges

The Global Regulators finally decided to work together and to step up the game when it comes to the rapidly increasing pace of the global fintech progress as we are about to read further in the latest cryptocurrency news.

Some of the most powerful financial regulators in America including the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission as a part of the Global Regulators group have announced that they will be joining the Global Financial Innovation Network. This network consists of the British regulators including the Financial Conduct Authority that takes care of policing crypto and blockchain-related businesses in the country. Also, it includes regulators such as the Monetary Authority of Singapore and the Hong Kong Monetary Authority as well as the business groups such as the Abu Dhabi Global Market.

The fellow American regulators include the Federal Deposit Insurance Corporation and the office of the Comptroller of the currency which will also join the GFIN according to a press release shared by the SEC. The GFIN was launched last year in the summer and even then considered creating a global sandbox for companies to trial cross-border solutions.

The move comes just under a week ago after the G7 taskforce instructed the member states to revamp the conventional financial system to respond to the threats from the alternative financing tools including cryptocurrencies and everything blockchain-related. The G7 made particular mention of the inefficient and costly nature of the cross-border transactions within the existing system.

This is not the first time that the national authorities join forces to address challenges brought by the new technology. The international coalition against tax criminals J5 also targets crypto-related crimes and it was formed as a response to a request to reduce tax crime. In the meantime, the CFTC chairman Heath Tarbet says that the fintech research facility of the regulator will also become an independent operating office:

 “Blockchain, digital assets, and other developments hold great promise for our economy. Now is the time for LabCFTC to play an even greater role as we work to develop and write the rules for these transformative new products. That reality requires engagement at the highest levels within the CFTC, which is why I am elevating LabCFTC to be an independent operating office of the agency.”